HIG shuns new LPs, raises $750m

For its fourth buyout fund, Miami-based HIG Capital offered allocations only to existing investors but has succeeded in raising $750m in less than three months.

HIG Capital, a Miami based private equity firm that manages buyout, venture, hedge fund and distressed debt vehicles, today announced a first and final close on the firm’s fourth buyout fund, rounding up a total of $750 million (€590 million) in commitments.

The fund was raised in a single close in less than three months, according to a press release. Only previous investors with HIG were invited to commit to HIG Capital Partners IV.

“We generated a high degree of interest which resulted in an oversubscribed level of demand,” said Tony Tamer, a co-founder of HIG, in a statement. “We decided too limit the size of the fund to $750 million and make it available only to existing HIG investors, rather than increasing it to a larger number, so we can stick to our strategy of focusing on small and middle-market companies.”

HIG has additional offices in Boston, San Francisco and Atlanta. The firm employs more than 70 investment professionals. The firm also manages a $300 million venture capital fund as well as a distressed debt vehicle called Bayside Capital and a hedge fund called Brightpoint Capital.

The firm was founded in 1993 by Sami Mnaymneh, a former managing director in the mergers and acquisitions department at The Blackstone Group, and Tamer, a former Bain & Co. consultant.